WallStSmart

Dlocal Ltd (DLO)vsSynopsys Inc (SNPS)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Synopsys Inc generates 632% more annual revenue ($8.01B vs $1.09B). DLO leads profitability with a 18.0% profit margin vs 13.8%. DLO trades at a lower P/E of 19.9x. DLO earns a higher WallStSmart Score of 65/100 (B-).

DLO

Strong Buy

65

out of 100

Grade: B-

Growth: 10.0Profit: 8.5Value: 8.3Quality: 7.0
Piotroski: 3/9Altman Z: 3.00

SNPS

Buy

51

out of 100

Grade: C-

Growth: 6.7Profit: 5.0Value: 2.0Quality: 5.5
Piotroski: 1/9Altman Z: 1.48
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

DLOUndervalued (+57.9%)

Margin of Safety

+57.9%

Fair Value

$30.42

Current Price

$13.02

$17.40 discount

UndervaluedFair: $30.42Overvalued
SNPSSignificantly Overvalued (-825.0%)

Margin of Safety

-825.0%

Fair Value

$44.34

Current Price

$410.13

$365.79 premium

UndervaluedFair: $44.34Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

DLO5 strengths · Avg: 10.0/10
Return on EquityProfitability
37.2%10/10

Every $100 of equity generates 37 in profit

Revenue GrowthGrowth
65.2%10/10

Revenue surging 65.2% year-over-year

EPS GrowthGrowth
92.5%10/10

Earnings expanding 92.5% YoY

Debt/EquityHealth
0.0110/10

Conservative balance sheet, low leverage

Altman Z-ScoreHealth
3.0010/10

Safe zone — low bankruptcy risk

SNPS3 strengths · Avg: 9.0/10
Revenue GrowthGrowth
65.5%10/10

Revenue surging 65.5% year-over-year

Market CapQuality
$78.57B9/10

Large-cap with strong market position

Price/BookValuation
2.6x8/10

Reasonable price relative to book value

Areas to Watch

DLO1 concerns · Avg: 3.0/10
Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

SNPS4 concerns · Avg: 2.5/10
Return on EquityProfitability
5.5%3/10

ROE of 5.5% — below average capital efficiency

Piotroski F-ScoreQuality
1/93/10

Weak financial health signals

PEG RatioValuation
2.772/10

Expensive relative to growth rate

P/E RatioValuation
62.9x2/10

Premium valuation, high expectations priced in

Comparative Analysis Report

WallStSmart Research

Bull Case : DLO

The strongest argument for DLO centers on Return on Equity, Revenue Growth, EPS Growth. Profitability is solid with margins at 18.0% and operating margin at 18.6%. Revenue growth of 65.2% demonstrates continued momentum.

Bull Case : SNPS

The strongest argument for SNPS centers on Revenue Growth, Market Cap, Price/Book. Revenue growth of 65.5% demonstrates continued momentum.

Bear Case : DLO

The primary concerns for DLO are Piotroski F-Score.

Bear Case : SNPS

The primary concerns for SNPS are Return on Equity, Piotroski F-Score, PEG Ratio. A P/E of 62.9x leaves little room for execution misses.

Key Dynamics to Monitor

SNPS carries more volatility with a beta of 1.16 — expect wider price swings.

SNPS is growing revenue faster at 65.5% — sustainability is the question.

SNPS generates stronger free cash flow (822M), providing more financial flexibility.

Monitor SOFTWARE - INFRASTRUCTURE industry trends, competitive dynamics, and regulatory changes.

Bottom Line

DLO scores higher overall (65/100 vs 51/100), backed by strong 18.0% margins and 65.2% revenue growth. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Dlocal Ltd

TECHNOLOGY · SOFTWARE - INFRASTRUCTURE · USA

DLocal Limited operates a worldwide payments platform. The company is headquartered in Montevideo, Uruguay.

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Synopsys Inc

TECHNOLOGY · SOFTWARE - INFRASTRUCTURE · USA

Synopsys is an American electronic design automation company that focuses on silicon design and verification, silicon intellectual property and software security and quality. Products include logic synthesis, behavioral synthesis, place and route, static timing analysis, formal verification, hardware description language (SystemC, SystemVerilog/Verilog, VHDL) simulators, and transistor-level circuit simulation.

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